Cancelling Credit Card

rob2005

Is cancelling a credit card which i no longer use a good idea?

Will it impact my credit rating?

Thanx

ps the balance has been cleared

PNPSUKNET

Yes it will show you have less available but not in a negative way

rob2005

PNPSUKNET wrote: »

Yes it will show you have less available but not in a negative way

So it would not hinder my chances of getting say a different credit card at another time or a mortgage for instance?

Mozette

It isn't good to have no credit cards at all. Better to show that you have a card that you can manage well. If you have other cards though, reducing your available credit can be helpful.

rob2005

Mozette wrote: »

It isn't good to have no credit cards at all. Better to show that you have a card that you can manage well. If you have other cards though, reducing your available credit can be helpful.

Yes i have 2, so would be dumping one and keeping the other

Moggles_2

r!!!005 wrote: »

Yes I have 2, so would be dumping one and keeping the other

Everyone should have at least one back-up card (especially if you travel away from home frequently), IMO.

No credit card is 100% reliable and sadly there's the ever-present possibility of fraud, which means your card could be blocked temporarily through no fault of your own or the provider.

What's more, if your lender varies your Ts & Cs or cuts your limit without warning, you have an alternative to hand.

From a credit rating point of view, it makes sense too.

NickX

As I have posted on here before, I think it depends on which cards you are looking to cancel.

Some cards offer very appealing follow-in repeat deals. MBNA for instance are renown for this, so I would never close an MBNA card down. They even allow you to hold multiple cards and move Credit Limits from one card to another.

I recently received a 0% repeat deal on an Abbey Zero card that I hadn't used for a few months. If I had closed it down, I would have missed out.

Personally I have found you need to have a lot of cards open before you start getting rejected from new providers. I was up to 14 cards at one point. Remember you may not get the same Credit Limit again, so I am from the school of thinking very carefully before closing a card down.

Good Luck.